Kenny Jackett so grateful for Wolves board backing

This week’s £300,000 signing of Nouha Dicko made it three permanent signings this month with £250,000 James Henry and Michael Jacobs at £200,000.

Wolves have also bid for, among others, £1m-rated Coventry striker Leon Clarke and are interested in Celtic’s attacking midfielder Callum McGregor and Tottenham’s £1m-rated schemer Alex Pritchard, who is on loan at Swindon.

Chairman Steve Morgan has continued to allow Jackett to spend and improve the squad despite no one leaving and the club announcing £33m losses last month.

“It’s an excellent show of commitment from the board who have helped in every single department we’ve needed,” said head coach Jackett.

“It’s a fantastic show of backing to keep wanting to improve the team.

“They want to keep bringing fresh enthusiasm into the side as well at a club where a high number of people have been here for a long time.

“Sometimes it’s tough when you have a big turnover of players.

“But to be prudent and then continually add one at a time and almost dripfeed players into a squad to improve it with quality, enthusiasm and a complement is something I believe in and I’m thankful to the board.”

Jackett however declared Wolves will keep their powder dry unless they can improve the squad.

“If we can bring in the type of quality we want then fine, but if we can’t find that at the right price then we won’t add,” he said.

Jackett feels his five signings have justified that faith.

“Those players have so far shown well – they’ve given us a freshness and quality and a complement to what we have already.”

And he said no one is close to the exit door.

“There are none close to leaving, and it would take a club to come in and there are no offers on the table,” he added.

Kevin Doyle has been linked with a loan move to Middlesbrough.

But Jackett is in no hurry to lose him.

“He’s not one we’re actively looking to move on,” he said.

Meanwhile, Jackett insisted the decision to postpone today’s clash at Crawley was correct.

“Looking at the pictures of the pitch and the amount of rain they’ve had, it’s no surprise,” he said.

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Comments for: "Kenny Jackett so grateful for Wolves board backing"

carl wolves

January 18, 2014 10:19 am

The reason we have £33m losses in the first place is because of the incompetence of the same board in terms of a combniation of bad managerial appointments and a failure to previously invest at the right times. Their modest but much needed outlay will easily be offset by the inevitable sale of at least one player by the end of the month, probably Sako and/or Hennessey. They also know that a lot of our big earners contracts will be coming to an end in the near future so our wage bill will be plummeting. So while this modest outlay is most welcome, I think it is the very least that is needed/owed.

Northern Wolf

Northern Wolf

January 18, 2014 10:57 am

I'm really not a Morgan critic. His club so he gets to make the decisions. That's fine. What gets up my nose is ridiculous kiss-up articles in the E&S that clearly seek to create and perpetrate (shall we polite and call them) myths to create positive spin. TO BE CLEAR... We did not lose £33m, we wrote it down off the balance sheet. We did not lose it on the P&L nor did we mis-place a briefcase of cash on the tram. We performed a legal and sensible accounting practice to re-value the assets of the club (the players) in the current context (2 relegations, free transfers, much lower value transfer market and contracts nearing their end). That "loss" of asset value can then be offset against gains prior to tax calculations. So let's do some maths.....

Fees for Fletch, Jarvis & Kightly + balloon payment = £41m

Fees spent on Sako, Boukari, Sigi, Doumbia etc = £11m

Profit £30m

Balance sheet write off £33m

= No Tax!!!!

Now that Batth has signed a new and improved contract he will be seen on the balance sheet as a more valuable asset. Presumably the E&S will now report this as us making a massive profit and suggest we spend this "cash" on players? Result!!!

carl wolves

Sir Billy Quiet

January 18, 2014 4:21 pm

Northern Wolf - Perfect summing up of the financial picture at Wolves, why do the E&S takes us for fools? why can't they print an analysis of Wolves financial position by a financial expert not a sports writer?

Football fans are business men as well, many of us are looking at P&L's and balance sheets on a daily basis, some of us are even tax advisors so the level of journalism needs to reflect the readership.

Well done Wolves on the new recruits but don't try and portray it that the club are doing anyone a favor, this is a hard nosed business being led by a top business man and his stooge.........

Keepsake

January 18, 2014 6:14 pm

Well said NW - a clear assessment of our financial situation. Question is, if the corner-stone of good journalism is objectivity, why would any self-respecting reporter (or newspaper) continue to promote/support Morgan's view without question? Come on E&S, time to use your favourite word, 'insist' your journalists do a better job!

sylvain2u

January 18, 2014 6:41 pm

sorry but the financial assessment from Northern wolf makes no sense to me.

1)It doesnt include the loss of revenue from sky, yes I know we get parachute payments but additional money you get per game screening a live game in the championship and prem is considerably more than in league 1.

2) it doesnt include the money spent on increasing capacity of the molineux.

3) it doesnt include our considerable wage bill which Moxley/Jackett must take a lot of credit for reducing

4) what about the loss of revenue from gate receipts? season ticket and attendances have plummetted to what they were last season.?

I'm sorry but its virtually impossible not to lose millions after 2 back to back relegations.

i agree that the balance sheet does not give the full picture and to be honest, its rarely does

Chillo Wolf

maltawolves

January 19, 2014 8:46 am

Sylvan,northern makes a very good point,if you Google Wolverhampton Wanderers PROPERTIES ltd you will see where the money came from for the increased capacity,Successive year on year profits have been transferred from the football club into the properties division as a legal tax loophole.

Sir Billy Quiet

January 19, 2014 12:52 pm

The figures may be simplistic but the principal remains - the Directors are doing no one 'a favour' least being the supporters. This club is being run as a business by Morgan and his stooge. Headlines about losses and profits are meaningless because the money is being moved around the holding companies.

We don't know the real position but I don't like being patronised by the illusion that somehow the owner is doing us all a favour and showing great commitment.

Every business requires investment at some point Wolves are no different other than the fact that this round of investment is as a result of mismanagement in the past.

Morgan cocked it up and has little choice but to invest until we are back in the Premiership or write off his investment and sell the club for £10.00.................

old golds worth more

January 19, 2014 1:54 pm

Good assessment (if over simplified a bit), but why do people keep mentioning Kightly when referring to the collective transfer fee's of Jarvis and Fletcher? It was my understanding that Kightly left on a free transfer, as his contract had ended and he declined to sign another, so the club did not receive a fee for him. Also in those supposed £33 million of losses, was SEB's value included? As he was worth something last season, but nothing from the end of June as his contract had expired. A lot of the £33 million losses will be taken up by the drop in our players values due to those successive relegations, plus the cost of building the new stand (which I suspect would be spread over a few seasons budgets, but concede I could be wrong on that point) and no doubt the pay off's to the two sacked managers DS and SS, (any pay off's to TC and MM would have come out of the previous years budget).

We did receive a reported £800,000 for Karl Henry, so if you deduct the transfer fee's of Jacobs, Henry and Dicko which comes to the above quoted £750,000, then we are still in profit to the tune of £50,000 (less the loan fee's for Jacobs and Henry before they became our players of course!). I can't see any club paying £4.5 million for Johnson, or £6.5 million for Doyle, (I'm assuming that clubs value their players according to what they paid for them in the transfer market) so if they leave before the start of next season, then that will also be a large loss posted in the books for this current season/Years accounts!

Albrightondek

January 18, 2014 11:17 am

I think part of the reason that the board have provided funds for strengthening the squad is that they thought that attendances at Molineux would be a lot lower than they have been. I don't know what the official average figure is for this season so far, but it's probably a lot higher than what the board budgeted for.

Also the board would have seen that all the players brought in by Jackett and Thelwell have all proved to be good purchases. That's a better track record than our most recent former managers.

However, supporters know full well that at some point there will have to be a clear out of players accumulated by previous managers. I fully expect that all the players brought in by Solbakken will be sold. Perhaps a couple this month but probably all of them will be gone by the summer. Of all the Mick McCarthy's players, Stephen Ward will probably be the easiest of to sold, which just leaves Johnson and O'Hara.

I can't remember the details of the reported £33m loss, but I think it included write-downs of quite a few players valuations, so it's a slightly misleading figure with regard to the financial situation at Molineux. But if promotion isn't achieved this season then the consequences are likely to be severe.

paul

January 18, 2014 11:56 am

All loss"s are of Morgan & Moxeys doing, we got all our money back and more from the sales of Henry,Fletcher and Jarvis plus Kites so i think the outlay so far is peanuts, one bright star is fair play to Jackett his buys so far have been great, and i don"t rate him much, but he is our coach and will back him.

Wolves Whippet

January 18, 2014 12:03 pm

They know that anything less than promotion will be a disaster for the club they are investing because they do not have a choice, Morgan knows he faces losing £millions if we don't go up to the Championship!

Leon

January 18, 2014 12:06 pm

Chris Iwelumo has left Scunthorpe.. I suggest the club speaks to him.. He is just the player we need.. He would give his heart to get us promoted.. and bring extra fire power and strength up forwards.. A six month contract or a year contract would hurt no one, and he brings tons of experience.

Sir Billy Quiet

Bigbadwolftoo

January 18, 2014 12:38 pm

Would expect whatever is going on with Wolves finances; that Morgan will be putting little of his own money in. His reputation as a tight handed operator probably rules. He wanted Liverpool, but never had a chance because of his stingy reputation. I would like to see the actual cost to Morgan of owning Wolves. He supposedly got the club for a tenner provided he put 30M in, I would like to know where that all went, mainly on a stand we didn't really need? Wonder what interests he had in the builders of it! I understand that the Wolves holding company is channel island registered, so will be as transparent as one of Redrow's brick walls. Development is what he does; further development opportunities is why he probably acquired Wolves in the first place

Don't expect any major investment to get us moving upwards on the pitch, until the TV rights and stuff roll in; but will we ever get there? Not being promoted this year would hurt us more than we probably realise.

The managerial decisions by our club in the last few seasons must be the worst in the professional football world. I just wished we had a owner who was true gold.

Bigbadwolftoo

Issues at Leeds and Portsmouth were all about financial issues, not football decisions which my comment was intended to be directed at.

Financially, we will be ticking over, no ambition no real investment.

As much as I don't think Moxey is the right man (is there any evidence that he could be considered thus? Dreadful PR, pitiful staff selection with ony saving grace his stubborness occaissionally works on transfers out), the tightness of Morgan probably even frustrates him; when I bet he believes investment now to virtually guarantee promotion and preparation for the championship would be the wise option.

CoRnIsHWoLf

January 18, 2014 9:08 pm

Clarify what "football decisions" are! Leeds & Portsmouth both had their moments due to "football decisions", Both clubs sets of fans were no doubt over the moon when they were paying big bucks for players on huge wages & enjoying champions league football & cup finals respectively! But those "footballing decisions" & financial responsibility come hand in hand & unfortunately when the going got tough there was no money in the kitty...........& then fans want blood because their club hasn't been looked after prudently.

Say what you want about Morgan, & most of it is unfounded ranting, but he doesn't strike me as someone who will bankrupt the club.

ELDERVO

mardygit

January 18, 2014 2:56 pm

With all the players that KJ is bringing in, I hope the likes of Price, Evans, Ismael, Mcalinden do not become restless and want to leave. As for the financial side, that's for Steve and Jez to sought out, all I will say is, let's not have any more millions wasted on players who cannot live up to their transfer fee. COME ON WOLVES.

chris h

January 18, 2014 5:38 pm

They made a £5 million profit on player trading last season ( and were relegated), so the least they can do is make some money available for transfers this season. The football club, the bit that counts to all of us, made healthy profits of £31,213,000 total for the 3 years we were in the Premier. And you can bet your bottom dollar when the results are finally posted with Companies House that Wolves 1986 Ltd will have made a substantial trading profit last financial year ,that is before any money was creamed off to meet Wolves Property Ltd obligations.The £33m write down on players values, as the club have stated, does not affect the balance sheet and is purely a technical measure which I assume minimises future years taxation liability etc. Kenny Jackett is happy with the support he has received, it is a pity they didn't support him to bring in a loan striker last November when we were 8 points clear. We are now 5 points behind and if we don't get promoted the consequences will be loud and clear on future balance sheets.

Chillo Wolf

January 18, 2014 8:17 pm

You don't know that KJ was looking for a striker in November Chris and you don't know that the board refused to back him - the fact that they have backed him with 3 very promising players in January suggests to me that maybe no targets were available in November and that maybe KJ had in the back of his mind that he still had the January window to come. Maybe, i don't know for sure but maybe thats how it was Chris.

Listen Chris they have admitted their past failings, they have admitted culpability for the position that we find ourselves in but they have stated that they will do all they can to get us back to where we belong. Now you can't buy your way out of this league, big players want to play in big leagues. So for now can't you just stop barking on about the past and see where the next 18 months takes us? KJ is doing a great job so far and all this article states is that, in his time at the club, he has been backed by the board - simple as. No need to harp on about past failings. Time to move on Chris. In 18 months if progression has not been made and the manager comes out and says he is not being backed then it can start to get messy again.

chris h

January 18, 2014 9:14 pm

A couple of points :

1 I should have said does not affect the profit and loss account. The balance sheet will be adjusted for the write down, I believe, of non tangible assets.

2 Chillo, I don't know for certain that Kenny wanted to bring in a striker on loan in Nov. But there is substantial evidence that a deal was pulled at the last minute to bring in Davies from Bolton, from multiple sources, E and S, local Bolton newspaper and quotes direct from Bolton football club. It also coincided with the collapse of O'Hara's loan to Blackpool. Seems to me to be pretty obvious what happened. They didn't get O'Hara off the wage bill and thought they could manage without a new striker, because they had a 8 points cushion. As I predicted at the time on here, the goals dried up in December and now we are trying to catch the top two. The point is they keep making mistakes and they need to be continually held to account. Won't make a jot of difference, but makes me feel better, at least.

chris h

January 18, 2014 11:07 pm

Chillo, You know there are a number of indisputable facts. We were 8 points clear, the goals dried up and now we are playing catch up, 4 points behind. As for getting in a tizzy. That reminds me of some of the comments I got when I criticised the building of the new stand before building a team. Remember,' footballers not bricks.' People said Steve Morgan was a successful businessman we would not go into decline due to the costs involved . Look at us now, third division football, lost to Gillingham the other week, an incongrous stand with a leaky roof and grateful when we sign a squad player discarded by Wigan. The one thing Steve Morgan and Jez Moxey don't deserve is an easy ride from Wolves fans, at least until we are challenging at the top of the Championship.

Supporter

January 18, 2014 5:55 pm

What is really interesting here is that Wolves supporters are looking financially astute; no-one is fooled by the balance sheet showing a loss which conveniently covered any tax bill. From an accountancy point of view this is a well run business. For a football club it is one where we are all expecting the ground to be levelled and turned into a housing development. There simply is not a feeling of passion once so evident from Sir Jack's days. We are buying into the low expectations now, pleased to get cheap players who are 'good for this level' rather than great players, or even Championship players. Sad when the passion of the fans is undiminished,

ELDERVO

A slight digression on the subject but if Moxey is anything like as good as his reputation as a negotiator perhaps a quick phone call to his namesake in sandwell would be an excellent investment.

With the baggie's sponsors threatening to pull out following that muppet Anelka's antics and no cash available for pepe , wouldn't a redrow logo look rather fetching on that tesco bag strip ? Just think of the smugness points....priceless.

karlwolves

January 18, 2014 8:01 pm

for all you Morgan/Poxey lovers, these two clowns have taken us to where we are, there stupid decisions have made our once grate club a laughing stock. In any other business the fat controller would of been sacked, Morgan himself would of been up in front of the trading standards board for the crap he has served up to us for the past 2. seasons. Dont get me started on the so called money he has invested in the club, who do think profited when the new stand was built......... answers on a stamp. PROMOTION is the very least Wolves fans expect/demand and if this is achieved it doesn't mean all is forgiven.

Marlow Wolf

NorthernWolf, beat me to the "Emperors Clothes" revelation. Great post!

I am sorry sylvain2u, Chillo Wolf don't recognise the clumsy attempt of the Senior Management to paint a financially

poor picture.

For those struggling with this; the Balance Sheet is a smoke and mirrors view of any businesses financial position, ie it will be manipulated to show whatever a Board feels is right for public consumption. That means it is not real. In football, you can very obviously flex it by making up players valuations. So doesn't reflect the health of the business, which the P&l does. Our P&L even in these dark days of McCarthy et al we do pretty well!

If the Builder wants to try and paint a negative position then shame on him and shame on him buying a load of rubbish not worth a fraction of the prices paid. A poor reflection on him as a businessman, but wait, how much of his money has been lost? Probably being making a nice little earner from his ownership of Wolves!

goldenoldy

January 19, 2014 9:50 am

yes kenny as long as you go to poundland you will be alright, but you will get no real money. how moxey is still there show how bad morgan is, nearly 2 full season since the prem and players still on big money and not playing them what a joke this club is.

paul

January 19, 2014 2:04 pm

Well yesterdays games leave us 5 & 4 points behind as the 3rd best club in league 1 and the top two don"t look like slipping up so a playoff place looks the best we will get, and our playoff record is at best dire over the years, the two games we have to win are Brentford & Leyton then hope one or the other loose form, we should be miles top with our squad. unless we get top two its another FAIL Morgan.

Bazrat

January 19, 2014 10:15 pm

Just a point if most oh here have there way Morgan and moxey walk away,do they believe a better pair will come to the rescue,as I have said before Sir Jack did not save this club he was prepared for us to go to the wall,so who would save us this time.

Morgan must have found the saviour of wolves jack Harris's book on how to build a club,slow steps but the fly by nights fans want will never accept that.

maltawolves

January 20, 2014 7:52 am

Bazrat,How the hell was Sir Jack prepared to let us go to the wall.Sir Jack pumped millions of HIS OWN money into the club and wrote off million's of DEBT so that Morgan could buy it for a tenner.Morgan has allowed this club to slide into the lower leagues whilst diverting profits towards his bridgemere group of companies.

AucklandKiwiWolf

January 20, 2014 2:48 am

Wolves have not exactly 'broken the bank' with their signings up to yet.In fact it is same old Wolves.ie.bargain basement.While keeping the books balanced can be seen as commendable,if Wolves are going to rub shoulders with the elite again,serious investment is going to be needed for our club.I still feel that in the long term Morgan & Moxey are not the answer.Not enough ambition.